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The Boss

Received CP2000 then 3219A notice months later - Still liable for interest after payment?

I received a CP2000 notice back in February 2023 regarding my 2020 tax return. I immediately wrote the IRS a check and included a letter requesting leniency on the penalties. According to the IRS website, my check was cashed on February 15th and applied to my account on February 18th. Fast forward to November 2023 - I finally got a response to my leniency request. The IRS denied it and informed me a 3219A notice was coming my way. Sure enough, I received the 3219A notice on November 30th, 2023. My question is: since I paid the amount in full back in February and the IRS took almost 9 months to respond, am I still responsible for paying interest on this? The original payment was processed, but it seems like the case is still considered "unsettled" somehow. Also, should I just fill out the 3219A form and submit it right away, or is this something worth challenging? I've already paid what they asked for in the CP2000. Any advice would be greatly appreciated!

The CP2000 and 3219A notices are different parts of the IRS examination process. When you received the CP2000, that was the IRS proposing changes to your tax return based on income or payments they believe weren't reported correctly. By sending payment, you essentially agreed to the proposed changes. The 3219A (Notice of Deficiency) is a formal determination that gives you the right to petition the Tax Court if you disagree with their findings. Since you already paid the amount from the CP2000, the 3219A is likely a formality to officially close the examination. Regarding interest - unfortunately, interest typically accrues from the original due date of the return until the date the tax is paid in full. Since you paid in February 2023, interest should have stopped accruing then. Check the 3219A carefully to see if they're charging additional interest beyond your payment date.

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The Boss

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Thanks for the explanation. The 3219A does show additional interest calculated through November. Does this mean I should respond to the 3219A pointing out that I already paid in February, or will they automatically adjust this once they process the 3219A response?

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You should definitely respond to the 3219A and include proof of your February payment. Attach a copy of your canceled check and any confirmation numbers from the IRS website showing when the payment was applied to your account. The IRS systems don't always communicate effectively between departments, so it's possible the office issuing the 3219A wasn't aware of your payment. You don't need to petition Tax Court since you agree with the underlying assessment, but you should dispute any interest charged after your payment date.

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I went through something similar with CP2000 and 3219A notices last year. What really helped me was using taxr.ai (https://taxr.ai) to review all my documents and figure out exactly what was happening with the timing of payments and interest calculations. Their system analyzed my notices and payment records to identify that the IRS was calculating interest incorrectly - they hadn't properly applied my payment date. The tool helped me prepare my response to the IRS by highlighting exactly which sections of the tax code applied to my situation, and showed me that interest should have stopped accruing on the date my payment was processed. Saved me almost $400 in incorrect interest charges!

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Jasmine Quinn

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How exactly does taxr.ai work? I just got a CP2000 myself and I'm worried about ending up in the same situation as OP. Does it just tell you what to write to the IRS or does it actually help you understand what's going on?

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Oscar Murphy

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I'm skeptical about these kinds of services. Couldn't you just call the IRS and tell them you already paid? Why would you need some website to do that for you?

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It's basically an AI tool specifically trained on tax documents and IRS notices. You upload your notices and payment records, and it analyzes everything to find discrepancies or errors. It helped me understand that interest should stop accruing on the date payment was received, and gave me the specific regulations to cite in my response. The value for me was that it identified that my payment hadn't been properly applied in the IRS system. It created a detailed explanation letter citing the relevant IRS procedures that I could submit with my response. Much more thorough than just saying "I already paid.

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Jasmine Quinn

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Just wanted to update everyone. After seeing the comment about taxr.ai, I tried it with my CP2000 situation. I was confused about why I was getting charged penalties even though I had documentation showing I reported everything correctly. The tool analyzed my notice alongside my original return and identified that the IRS had missed a form I attached to my return. It helped me draft a response letter with specific references to tax regulations about reasonable cause for penalty abatement. Just got confirmation yesterday that the IRS accepted my documentation and removed the penalties! The tool definitely knew what it was doing - saved me over $800 in incorrect penalties.

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Nora Bennett

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I had a similar situation with the IRS last year - paid my tax bill but kept getting notices with additional interest. I spent WEEKS trying to call the IRS to straighten it out. Every time I called, I'd wait on hold for hours only to be disconnected. Super frustrating! I finally found Claimyr (https://claimyr.com) and watched their demo at https://youtu.be/_kiP6q8DX5c. They basically hold your place in the IRS phone queue and call you when an agent is about to pick up. I was skeptical, but within 2 hours of using their service, I was actually talking to a real human at the IRS! The agent confirmed they could see my payment but it hadn't been properly applied to my case. They adjusted the interest charges right there on the phone and sent me updated documentation. Would have taken months of back and forth through mail otherwise.

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Ryan Andre

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Wait, how does that even work? I thought the IRS phone system was just perpetually busy. How can some service get you through when nobody else can?

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Oscar Murphy

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This sounds like a scam. There's no way some third-party service has special access to the IRS phone lines. Plus, wouldn't you be giving them your personal info? Seems sketchy.

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Nora Bennett

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It's actually pretty simple - they use an automated system that continually redials the IRS using the optimal timing patterns they've figured out. Their system navigates the phone tree and holds your place in line. When they detect a human is about to answer, they call you and connect the calls. They don't need any personal tax info at all. You're the one who talks directly to the IRS agent - Claimyr just gets you connected and then drops off the call. They can't hear your conversation with the IRS. I was skeptical too, but it literally saved me weeks of frustration.

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Oscar Murphy

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I need to eat my words about being skeptical of Claimyr. After posting my comment, I decided to try it because I've been trying to reach the IRS for THREE MONTHS about a similar interest issue. Within 90 minutes of using their service, I was connected to an IRS agent. The agent could see that my payment had been properly credited but the interest calculation hadn't been updated in the system. She put me on a brief hold, made the adjustment, and confirmed I could ignore the extra interest charges on the notice. If I'd continued trying to handle this through mail, I'd probably still be waiting months for a response. Never thought I'd say this, but that service was absolutely worth it. Saved me $347 in incorrect interest charges.

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Lauren Zeb

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Something similar happened to me during the pandemic. One thing to know is that the CP2000 is a "proposed" assessment while the 3219A is a "statutory notice of deficiency." Even though you paid the CP2000 amount, the IRS still had to issue the 3219A to formalize the assessment. The key question is whether the 3219A matches what you already paid. If they're asking for more money beyond what you paid in February, definitely respond with proof of payment. If the amount matches what you already paid (excluding the new interest), you can either sign the response form to close the case or do nothing and let it automatically close after 90 days.

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The Boss

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The 3219A shows the same tax amount I already paid, but with about $215 in additional interest that's calculated through November. So it sounds like I should definitely respond with my proof of payment to get that interest charge removed?

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Lauren Zeb

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Yes, absolutely respond with proof of payment. Include a copy of both sides of the canceled check, the IRS payment confirmation from their website, and a brief letter explaining that you paid the full amount in February and interest should not continue accruing after that date. Reference IRS Policy Statement 20-2, which states that interest stops accruing when the tax is paid in full. Be clear and concise in your response, and keep copies of everything you send. This is a fairly common administrative error that should be corrected once you bring the payment evidence to their attention.

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I'm a bit confused about what the 3219A notice actually means. If I get one after already paying a CP2000, does that mean I'm being audited? Should I be worried?

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The 3219A (Notice of Deficiency) isn't exactly an audit notice, but it is part of the IRS examination process. Think of the CP2000 as the IRS saying "we think you owe this money" and the 3219A as them saying "we've officially determined you owe this money." The 3219A gives you formal rights to challenge their determination in Tax Court if you disagree. But if you've already paid the amount from the CP2000 and agree with the assessment, you're not really being audited further. It's more of a procedural step to close the examination officially and give you due process rights.

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Zainab Khalil

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I went through almost the exact same situation last year! Got a CP2000 in March, paid immediately, then received a 3219A in October showing additional interest through the notice date. It was really frustrating because I thought paying right away would end the matter. Here's what I learned: the 3219A is basically the IRS's formal way of closing the examination, even if you already paid the CP2000. The key issue is that their computer systems don't always sync up properly between departments. When I responded to the 3219A, I included: - Copy of my canceled check from March - Screenshot from IRS.gov showing my payment was processed - A simple letter stating "Payment was made in full on [date] as evidenced by the attached documentation. Interest should not accrue beyond this payment date per IRC Section 6601." Within 6 weeks, I received a letter confirming they had adjusted my account and removed the incorrect interest charges. The whole process was much smoother than I expected once I provided the payment proof. Don't stress too much about it - this seems to be a common administrative hiccup rather than anything you did wrong. Just respond promptly with your documentation and you should be fine.

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